CRN full form in income tax
In income tax in India, CRN stands for Challan Reference Number. It is a unique 14-digit identifier automatically generated when a taxpayer creates a tax challan on the Income Tax Department’s e-filing portal to make a payment.
Significance of CRN
- Tracking and verification: The CRN helps the Income Tax Department to accurately track and verify tax payments. It ensures that the payment is correctly credited and mapped to the taxpayer’s account.
- Proof of payment: A CRN serves as a proof of a tax payment transaction. It appears on the challan receipt after a successful payment.
- Streamlines process: By using CRNs, the tax payment process is made more efficient, transparent, and secure for both taxpayers and the tax authorities.
- Mandatory for e-payments: When using the “e-Pay Tax” service on the e-filing portal, generating a CRN is mandatory for making payments for various taxes, including self-assessment tax and advance tax